How do corporate governance and corporate social responsibility affect credit risk?

被引:17
作者
Hunjra, Ahmed Imran [1 ]
Jebabli, Ikram [1 ]
Thrikawala, Sujani Sudhara [2 ]
Alawi, Suha Mahmoud [3 ]
Mehmood, Rashid [4 ]
机构
[1] Int Univ Rabat, Rabat Business Sch, Rabat, Morocco
[2] WINTEC, Ctr Business & Enterprise, Hamilton, New Zealand
[3] King Abdulaziz Univ, Fac Econ & Adm, Finance Dept, Jeddah 21422, Saudi Arabia
[4] Univ Educ, UE Business Sch, Div Management & Adm Sci, Lahore, Pakistan
关键词
Corporate governance; CSR; Credit risk; Asian emerging economies; FINANCIAL PERFORMANCE; NONINTEREST INCOME; BANK RISK; FIRM RISK; BOARD; SUSTAINABILITY; DISCLOSURES; MANAGEMENT; REPUTATION; LIQUIDITY;
D O I
10.1016/j.ribaf.2023.102139
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
We contribute to the existing literature by examining the relationship between corporate governance, corporate social responsibility (CSR) and bank risk. We apply fixed effect model to analyse the results, we find that board size, board meetings and board independence significantly and negatively affect banks' credit risk. However, ownership concentration significantly increases bank credit risk. Further, we find that CSR leads to decreased bank credit risk. Our study enables banks in emerging economies to gain a better understanding of how to implement effective governance & CSR activities to mitigate credit risk.
引用
收藏
页数:18
相关论文
共 111 条
[31]   Board size and the variability of corporate performance [J].
Cheng, Shijun .
JOURNAL OF FINANCIAL ECONOMICS, 2008, 87 (01) :157-176
[32]   CSR engagement and financial risk: A virtuous circle ? International evidence [J].
Chollet, Pierre ;
Sandwidi, Blaise W. .
GLOBAL FINANCE JOURNAL, 2018, 38 :65-81
[33]   Attendance of board meetings and company performance: Evidence from Taiwan [J].
Chou, Hsin-I ;
Chung, Huimin ;
Yin, Xiangkang .
JOURNAL OF BANKING & FINANCE, 2013, 37 (11) :4157-4171
[34]   The effect of female presence on corporate boards of directors on the value relevance of accounting amounts: empirical evidence from the European Union [J].
Cimini, Riccardo .
JOURNAL OF INTERNATIONAL FINANCIAL MANAGEMENT & ACCOUNTING, 2022, 33 (01) :134-153
[35]   Number of directors and financial performance: A meta-analysis [J].
Dalton, DR ;
Daily, CM ;
Johnson, JL ;
Ellstrand, AE .
ACADEMY OF MANAGEMENT JOURNAL, 1999, 42 (06) :674-686
[36]   Corporate governance in banking: The role of the board of directors [J].
de Andres, Pablo ;
Vallelado, Eleuterio .
JOURNAL OF BANKING & FINANCE, 2008, 32 (12) :2570-2580
[37]   Corporate social responsibility, country-level predispositions, and the consequences of choosing a level of disclosure [J].
de Villiers, Charl ;
Marques, Ana .
ACCOUNTING AND BUSINESS RESEARCH, 2016, 46 (02) :167-195
[38]   The Downside of Being Responsible: Corporate Social Responsibility and Tail Risk [J].
Diemont, Dolf ;
Moore, Kyle ;
Soppe, Aloy .
JOURNAL OF BUSINESS ETHICS, 2016, 137 (02) :213-229
[39]  
Donaldson L., 1991, Australian Journal of Management, V16, P49, DOI [DOI 10.1177/031289629101600103, 10.1177%2F031289629101600103]
[40]   A Multimethod Approach to Assess and Measure Corporate Social Responsibility Disclosure and Practices in a Developing Economy [J].
Ehsan, Sadaf ;
Nazir, Mian Sajid ;
Nurunnabi, Mohammad ;
Khan, Qasim Raza ;
Tahir, Samya ;
Ahmed, Ishfaq .
SUSTAINABILITY, 2018, 10 (08)